Proposal to clarify the causes of losses of State-owned energy development corporations and groups

Competitive energy market development is not synchronous.

On October 12, under the chairmanship of National Assembly Chairman Vuong Dinh Hue, the National Assembly Standing Committee considered and gave opinions on conducting thematic supervision on "Implementation of policies and laws on energy development in the 2016-2021 period".

Briefly presenting the monitoring results, Chairman of the Committee for Science, Technology and Environment Le Quang Huy - Deputy Head of the Standing Committee of the Monitoring Delegation said: In the period of 2016 - 2021, with the correct strategic orientation of the Party, the active participation of the entire political system and the participation and support of the people, our country's energy sector has had rapid and relatively synchronous development in all sub-sectors and fields; closely following the orientation and achieving many specific goals set. Energy supply, especially electricity supply, basically meets the requirements of socio-economic development with increasingly improved quality. The oil and gas exploitation and petrochemical industry continues to develop, forming a number of large-scale petrochemical facilities. Investment has been made in the construction of many large-capacity coal mine projects; commercial coal mining output has increased; hydropower has developed rapidly, recently wind power and solar power have begun to develop at a high speed.

Vice Chairman of the National Assembly Nguyen Duc Hai chaired the meeting.

Investment in the construction of power supply infrastructure has developed strongly, bringing national grid electricity to almost every region of the country. The use of energy saving and efficiency is increasingly concerned. The energy sector has initially been transformed into a market-based operation; mobilizing large resources for development investment with the participation of many economic sectors, the core of which is state-owned enterprises.

The energy sector has become a dynamic economic sector, making an important contribution to promoting socio-economic development, ensuring national defense and security in many localities and the country. According to the Government's report, in a normal development scenario with average GDP growth, the total final energy demand is forecast to be 113 million tons of oil equivalent in 2030 and reach 194 million tons of oil equivalent in 2050.

However, our country's energy development still has many limitations and shortcomings. The goal of ensuring national energy security still has many challenges, especially the local shortage of gasoline in 2022, and electricity shortage at some points in 2023; domestic supply sources are not enough to meet demand, energy imports are increasingly large; many power projects are behind schedule; some energy security indicators are fluctuating in an unfavorable direction.

Chairman of the Committee on Science, Technology and Environment Le Quang Huy - Deputy Head of the Standing Committee of the Monitoring Delegation presented the Monitoring Results Report.

Management and exploitation of energy resources are still limited. The efficiency of energy exploitation and use is still low. The infrastructure of the energy sector is still lacking and not uniform. The level of technology in some fields of the energy sector is slow to improve, the localization and market support from projects in the energy sector for domestically produced mechanical products are still limited. The quality of human resources and labor productivity in some fields are still low.

The competitive energy market has not developed synchronously, lacking connectivity between sub-sectors, between power generation and power transmission; energy price policies are still inadequate, not completely consistent with the market mechanism, and not separate from social security policies.

Some energy projects invested by state-owned enterprises are still losing money; some energy projects invested abroad are at high risk of losing capital. Environmental protection in the energy sector has not received due attention in some places and at some times, causing social outrage.

The monitoring delegation determined that the above limitations and weaknesses were due to many causes, but subjective causes were the main ones; and at the same time, they pointed out 4 lessons learned.

Removing obstacles and bottlenecks when implementing investment projects and energy infrastructure

To promote the achieved results, overcome limitations and shortcomings, and promptly adapt to the context in the new period, the Supervisory Delegation recommended that the National Assembly Standing Committee issue a Resolution on thematic supervision of the implementation of policies and laws on energy development in the 2016-2021 period. Accordingly, specific responsibilities are assigned to agencies of the National Assembly, the Government, ministries, branches, and localities to carry out the tasks and solutions that need to be done immediately in the 2024-2025 period:

Overview of the meeting.

Focus on reviewing and submitting to the National Assembly the amendments and supplements to the Electricity Law, the Law on Economical and Efficient Use of Energy, the Law on Credit Institutions, the Law on Minerals, the Law on Chemicals, the Law on Management and Use of State Capital Invested in Production and Business at Enterprises; amend, supplement, and perfect other legal documents to remove obstacles and bottlenecks when implementing investment in energy projects and infrastructure.

Specifically, regarding the energy market, electricity price policy, coal price, gasoline price, the Supervisory Delegation recommended studying and proposing mechanisms and policies for operating the competitive energy market in accordance with the production and business activities of enterprises according to the roadmap for developing the competitive energy market.

Regarding ensuring the feasibility, investment efficiency and capital sources for implementing energy projects, the Supervisory Delegation recommends reviewing and assessing the feasibility of power source and grid projects expected to attract investment or committed to investment from non-state budget sources in the 2023-2030 period; Studying appropriate and feasible mechanisms and policies on investment, development and management of petroleum storage and port systems in the North-Central-South region to meet the requirements for reserves and ensure national energy security. Consider issuing a priority policy to deploy the construction of LNG import port warehouse infrastructure in the direction of developing large-capacity central LNG port warehouses near LNG power centers to make the most of gas transportation and distribution infrastructure, optimize costs and reduce electricity production costs...

Along with that, continue to promote the work of supervision, auditing, inspection, examination, investigation and conclusion, and thoroughly handle outstanding cases; in 2023, clarify the causes of losses of State-owned energy development corporations and groups in the recent past.

The monitoring delegation also proposed a number of medium and long-term tasks and solutions (until 2030, with a vision to 2045). In addition, the monitoring delegation also proposed a list of legal documents that need to be abolished, amended, and supplemented, and key projects that need to be focused on and resolved in the energy sector.

Source: https://www.congluan.vn/kien-nghi-lam-ro-nguyen-nhan-gay-ra-khoan-lo-cua-cac-tap-doan-tong-cong-ty-nha-nuoc-phat-trien-nang-luong-post268371.html